Prestige Consumer Healthcare Inc. · NYSE:PBH
Prestige Consumer Healthcare — Q3 FY2023 Earnings Presentation
19 slides from Prestige Consumer Healthcare's earnings presentation, Feb 2, 2023
Slide 1: Third Quarter FY 2023 Results
F e b r u a r y 2 nd, 2 0 2 3 Third Quarter FY 2023 Results 1
Slide 2: Safe Harbor Disclosure
Safe Harbor Disclosure This presentation contains certain “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements regarding the Company’s expected financial performance, including revenues, diluted EPS, leverage, free cash flow, and
Slide 3: Agenda for Today's Discussion
Agenda for Today’s Discussion I. Performance Update II. Financial Overview III. FY23 Outlook THIRD QUARTER FY23 RESULTS 3
Slide 4: I. Performance Update
I. Performance Update THIRD QUARTER FY23 RESULTS
Slide 5: Continued Momentum in Q3 FY23
Continued Momentum in Q3 FY23 ◼ Solid quarterly Revenue of $275.5 million, up 1.8% excluding currency vs. PY Q3 FY23 Sales ◼ Continue to benefit from diverse portfolio of trusted brands Drivers ◼ Strong growth led by cough/cold & International segment Stable Earnings ◼ Gross Margin as expected in cu
Slide 6: Robust Growth in Cough / Cold in Current Supply Environment
Robust Growth in Cough / Cold in Current Supply Environment Key Drivers Brand-Building Driving Consumption Growth % YTD Q3 YoY Growth; MULO C + Amazon ending 1/1/23 Record Cough/Cold Category +28% Growth in FY23 +25% Cough/Cold category expanded from typical seasonality Dynamic Supply Chain Environm
Slide 7: II. Financial Overview
II. Financial Overview THIRD QUARTER FY23 RESULTS
Slide 8: Third Quarter and YTD FY23 Performance Highlights
Third Quarter and YTD FY23 Performance Highlights FY23 FY22 0.4% Revenue of $275.5 million, up 1.8% vs. PY on an organic basis(1) $275.5 $274.5 4.1% Q3 $ 94.2 $90.5 5.1% $1.04 $0.99 (3) Revenue EBITDA EPS EBITDA(3) of $94.2 million, up 4.1% vs. PY 2.7% $841.9 $819.9 (0.6%) YTD $280.5 $282.2 (0.3%) E
Slide 9: FY23 Third Quarter and YTD Consolidated Financial Summary
FY23 Third Quarter and YTD Consolidated Financial Summary 3 Months Ended 9 Months Ended YTD FY23 Comments Q3 FY23 Q3 FY22 % Chg YTD FY23 YTD FY22 % Chg ◼ Organic Revenue(1) up 2.0% vs. PY Total Revenue $ 275.5 $ 274.5 0.4% $ 841.9 $ 819.9 2.7% – Strong cough/cold season & International Adj. Gross Ma
Slide 10: Industry Leading Free Cash Flow Trends
Industry Leading Free Cash Flow Trends Free Cash Flow(3) Comments Q3 FY23 Q3 FY22 YTD FY23 YTD FY22 ◼ YTD FY23 Free Cash Flow(3) of $165.5 million down 14.6% vs. PY – Q3 Free Cash Flow(3) down 17.1% vs. PY owing (14.6%) to increased inventory levels in working capital $193.8 – Investing in inventory
Slide 11: III. FY23 Outlook
III. FY23 Outlook THIRD QUARTER FY23 RESULTS
Slide 12: Narrowing FY23 Outlook
Narrowing FY23 Outlook ◼ Strategy delivering with growing and well-positioned business ◼ Agile brand-building and diverse portfolio enabling growth in a dynamic Top Line Trends environment ◼ Revenue outlook of $1,120 to $1,122 (~3% growth) ◼ Operating Profit dollars expected to grow in-line with Rev
Slide 13: Q&A
Q&A THIRD QUARTER FY23 RESULTS
Slide 14: Appendix
Appendix (1) Organic Revenue is a Non-GAAP financial measure and is reconciled to the most closely related GAAP financial measure in the attached Reconciliation Schedules and / or our earnings release dated February 2, 2023 in the “About Non-GAAP Financial Measures” section. (2) Company consumption
Slide 15: Reconciliation Schedules
Reconciliation Schedules Organic Revenue Change Three Months Ended December 31, Nine Months Ended December 31, 2022 2021 2022 2021 (In Thousands) GAAP Total Revenues $ 275,524 $ 274,470 $ 841,856 $ 819,876 Revenue Change 0.4% 2.7% Adjustments: Revenues associated with acquisition (a) - - (12,624) -
Slide 16: Reconciliation Schedules (Continued)
Reconciliation Schedules (Continued) Adjusted G&A Three Months Ended December 31, Nine Months Ended December 31, 2022 2021 2022 2021 (In Thousands) GAAP General and Administrative Expense $ 26,536 $ 25,983 $ 79,688 $ 80,706 GAAP General and Administrative Expense as a Percentage of GAAP Total Revenu
Slide 17: Reconciliation Schedules (Continued)
Reconciliation Schedules (Continued) Adjusted EBITDA Margin Three Months Ended December 31, Nine Months Ended December 31, 2022 2021 2022 2021 (In Thousands) GAAP Net Income $ 51,951 $ 50,215 $ 158,246 $ 153,295 Interest expense, net 17,917 16,924 50,188 48,314 Provision for income taxes 16,166 15,2
Slide 18: Reconciliation Schedules (Continued)
Reconciliation Schedules (Continued) Adjusted Net Income & Adjusted EPS Three Months Ended December 31, Nine Months Ended December 31, 2022 2021 2022 2021 Net Diluted Net Diluted Net Diluted Net Diluted Income EPS Income EPS Income EPS Income EPS (In Thousands, except per share data) GAAP Net Income
Slide 19: Reconciliation Schedules (Continued)
Reconciliation Schedules (Continued) Adjusted Free Cash Flow Three Months Ended December 31, Nine Months Ended December 31, 2022 2021 2022 2021 (In Thousands) GAAP Net Income $ 51,951 $ 50,215 $ 158,246 $ 153,295 Adjustments: Adjustments to reconcile net income to net cash provided by operating acti
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